Next Fifteen completes raft of earnings-enhancing transactions
Next Fifteen Communications completed a number of earnings-enhancing transactions on Friday, acquiring the remaining 25% minority interest in its research and advisory agency Morar Consulting, and settling in full the remaining obligation for the original purchase of 75% of Morar made on 3 December 2014.
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The company said Morar's remaining obligation in respect of the acquisition of its subsidiary made on 23 April 2015 was also settled in full.
Next Fifteen said the aggregate consideration for the minority interest, the outstanding deferred Morar consideration and the outstanding deferred subsidiary consideration was £3.55m, to be paid in two tranches.
"The first tranche was paid on 25 February 2016 for £1.86m, comprising £1.59m in cash with the balance of £0.27m being satisfied by the issue of 118,162 ordinary shares of 2.5p each to the sellers," the company's board said in a statement.
A second tranche of £1.69m would be payable on 28 February 2017, and was conditional on the continued employment of the sellers.
"The acquisitions are expected to be immediately earnings enhancing for the company," Next Fifteen's board confirmed.
Next Fifteen's new ordinary shares were issued and allotted to the sellers on 25 February, and ranked 'pari passu' with the company's existing stock.
Application had been made to the London Stock Exchange for the new shares to be admitted to AIM, and it was expected to take place on 3 March.
Following the issue and allotment of the new shares, Next Fifteen Communications' total issued shares would number 70,652,699.